#USA #Irvine #American Healthcare REIT #AHR #Healthcare REIT

American Healthcare REIT Reports Fourth Quarter and Full-Year Results

On February 27, 2025, American Healthcare REIT, Inc. (AHR) shared its performance results for the fourth quarter and overall year of 2024. The results were presented by executives, highlighting significant milestones and future expectations for the company.

Key Financial Highlights

For the fourth quarter ending December 31, 2024, AHR reported a GAAP net loss attributable to controlling interest of $31.8 million, translating to a net loss of $0.21 per diluted share. In terms of overall performance for the entire year, the company faced a GAAP net loss of $37.8 million or $0.29 per diluted share. Despite these losses, the performance was bolstered by a normalized funds from operations (NFFO) of $0.40 for the quarter and $1.41 yearly.

AHR saw impressive growth in same-store net operating income (NOI) across its portfolio, showcasing increases of 21.6% and 17.7% for the fourth quarter and the full year, respectively. This growth was particularly noteworthy in the senior housing operating properties (SHOP) segment, which saw a phenomenal 66.6% growth year-over-year.

Investment Strategies and Results

Throughout 2024, AHR made strategic investments totaling over $650 million, with a significant acquisition of a SHOP asset in the Atlanta MSA for approximately $7.5 million during the last quarter. The company's innovative at-the-market equity offering program provided an avenue for raising substantial capital. They successfully issued 4,285,531 shares, generating gross proceeds amounting to approximately $120.2 million in Q4 alone. Overall for 2024, AHR raised about $1.36 billion through equity offerings, enabling them to strengthen their investment capacity in healthcare real estate.

Outlook for 2025

Looking ahead, AHR has set ambitious targets for 2025. The company is projecting a same-store NOI growth guidance of between 7.0% and 10.0%, aiming for an NFFO range of $1.56 to $1.60 per diluted share. The CEO, Danny Prosky, expressed confidence that the company's diversified healthcare portfolio would facilitate continued positive momentum in earnings and operating income, attributed to favorable market conditions within the healthcare real estate sector.

Transactional Activity and Portfolio Management

The year following its market debut has seen AHR refine its portfolio with new acquisitions and a focused strategy on senior housing. During Q4 2024, the company not only acquired new properties but also improved its operational strategies in existing facilities. The management emphasized the importance of collaborative partnerships with regional operators, crucially supporting growth across segments.

Subsequent to the quarter’s end, AHR is expected to finalize contracts for the acquisition of two additional SHOP properties valued at around $70.5 million, further enriching their portfolio ahead of a robust 2025.

Conclusion

In summary, American Healthcare REIT's impressive results for Q4 2024 and the entire year underscored its strong positioning within the healthcare real estate market. With a clear growth trajectory and advanced strategies for capital raising, AHR is set on a path to not only recuperate past losses but also excel in performance moving forward. Stockholders and stakeholders can anticipate an engaging conference call hosted on February 28, 2025, where AHR management will disclose further insights into their strategies and future outlook.